Session: 02-07-01: IoT and Digital Twins

Paper Number: 142835

142835 - The Legacy of Henry R. Towne - the Business Digital Twin Built Upon a Business Model Ontology 

This paper introduces а pervasive digital technology called Business Digital Twin (BDT), developed over the last 25 years, as a software that digitally recreates all enterprise processes and allows for their efficient management in real-time and even simulation of future enterprise variant states. The paper also outlines the ontological foundation of BDT called Business Model Ontology (BMO) which represents the culmination of three engineering waves in the development of managerial knowledge initiated by Henry R. Towne.

In 2024, we commemorate 100 years since Henry R. Towne’s death, one of the most prominent figures in the fields of engineering and shop management and the 8th President of ASME. To honor his memory and understand the necessity for a Business Digital Twin, we would like to remind and bring attention to one of Henry R. Towne’s most notable and vital presentations – “The Engineer as an Economist.” In his work, Henry R. Towne states that it is challenging for machine-related manufacturing enterprises to be developed since their success depends on the "ability of the managers while receiving little benefit or aid from all that may have been done previously by others in precisely the same field of work."

 Henry R. Towne defined the difficulties and challenges related to the creation and management of manufacturing enterprises, due to the lack of systemic scientific knowledge about it. We define this systemic knowledge as Business Model Ontology. Towne states that "A vast amount of accumulated experience in the art of workshop management already exists, but there is no record of it available to the world in general…" Nearly 140 years since the publication of this statement by the American Society of Mechanical Engineering (ASME), a universally accepted and comprehensive Business Model Ontology has yet to be widely disseminated.

The methodology used to develop the Business Digital Twin as well as the Business Model Ontology is based on the laboratory approach to scientific research. All new developments were practically tested in industrial enterprises, as specifically created real-world R&D test ground environments.

Given the thorough and detailed nature of both the Business Model Ontology and the Business Digital Twin, we propose that a vast cognitive database could be constructed through the Business Digital Twin framework to encompass various types of manufacturing enterprises. The development of such a crucial open-source database would significantly aid in the establishment of new enterprises and the restructuring and optimization of old ones. This, among other potential impacts discussed in the paper, would facilitate the successful implementation of Industry 4.0 and 5.0 strategies, which aligns with the vision set out by Henry R. Towne in "The Engineer as an Economist."

 

 

 

 

 

 

 

Presenting Author: Stefan Stefanov Institute for Systemic Economic Engineering

Presenting Author Biography: I have worked in the industry for fifteen years during which I have taken part in a very interesting industrial experiments. In 2008, the factory where I worked (a manufacturer of hydraulic cylinders) had purchased old technical documentation for axial piston hydraulic motors and pumps and the machinery needed for the finishing operations. All of this was bought as scrap. At the end of the 80s, our country tried to produce this kind of machinery for which the state (back then a socialist republic) paid millions. However, in 1989, the political regimen fell, and the work stopped before reaching a working prototype. The experiment aimed to prove that a scientific discovery made by a Bulgarian Institute and the digital technology which is based on it could be used as a foundation for the creation of new quality human capital - one which can build, manage and develop new enterprises for machines, as well as re-engineer existing ones. To make it an actual experiment, the people who were 'test subjects' were three engineers (me included) aged 20, 23, and 28 and had never managed a team, let alone a whole factory. Our goal was to modernize the technical and constructive documentation, plan the whole new factory, describe and develop all the processes inside of it, and create educational materials for the workers, who have never had to perform such fine operations since the production of cylinders uses 0.01mm tolerances, while piston motors - 0.001mm tolerance. Within one year, we made all the planning and design necessary, and for one additional year, we managed to obtain a working prototype. For two years and a minimal investment of 0.75 mil.$, we, a team of three engineers and six workers, managed to succeed in a task where others failed after years of work of a group of 100 persons and multiple millions invested. The prototypes produced gave better results in a German test laboratory than the competitive models of Bosch. All of this was possible using the disruptive innovation created by this Bulgarian Institute - the Business Model Ontology and the Business Digital Twin.
After my industrial experience, I decided to take part in developing the said Institute and enhance the scientific discovery, as well as take part in the mass dissemination of this knowledge. We have already gained the support of IEEE (Education Division) and SEFI. We would like to attend IMECE, as the US has always been where these technologies find their home.

Authors:

Trifon Stefanov Institute for Systemic Economic Engineering
Stefan Stefanov Institute for Systemic Economic Engineering